Fulham Football Club Ltd and Others v Cabra Estates Plc

JurisdictionEngland & Wales
Judgment Date31 July 1992
Date31 July 1992
CourtCourt of Appeal (Civil Division)

Court of Appeal

Before Lord Justice Neill, Lord Justice Balcombe and Lord Justice Steyn

Fulham Football Club Ltd and Others
and
Cabra Estates plc

Public enquiry - agreement not to give evidence - whether enforceable

Enquiry agreement not illegal

There was no rule of public policy whereby a football club could ignore the undertakings given by its directors not to give evidence at a local council enquiry concerning a compulsory purchase order and no rule of public policy rendered such an agreement illegal or unenforceable.

The Court of Appeal so held in a reserved judgment when allowing the appeal of Cabra Estates plc against the order made by Mr Justice Chadwick ((The Times July 1) in accordance with his decision given on June 19, 1992, granting Fulham Football Club Ltd and its shareholders and directors, James William Hill, William Arthur Muddyman, Ruxley Holdings Ltd, Thomas Wilson and Cecil Albert Frederick Swain, a declaration that they were entitled to give evidence to a public enquiry concerning a compulsory purchase order, contrary to certain undertakings they had given in an agreement under seal.

Mr Anthony Scrivener, QC and Mr Timothy Dutton for Cabra Estates; Mr Ian Hunter, QC and Mr Joseph Smouha for Fulham Football Club and others.

LORD JUSTICE NEILL, giving the judgment of the court, said that the case concerned the future use and development of the football ground and surrounding land known as Craven Cottage in Fulham, the home of Fulham Football Club.

On February 10, 1989 the freehold owners of the site, Vicenza Developments Ltd who were a subsidiary of Cabra Estates Ltd, made an application to the local planning authority, Hammersmith and Fulham London Borough Council, for planning permission to develop the site for residential purposes.

On February 24, 1989 the council made planning applications for an alternative development of the site and on May 3, 1989 the council issued a complusory purchase order for the site.

In due course the secretary of state ordered a public enquiry which was due to commence on January 30, 1990. On January 28, 1990 Vicenza and Cabra made an agreement in writing with Fulham Football Club, its shareholders and directors as to the possible future development of the site and on that same date the shareholders and directors entered into a letter of undertaking with Cabra Estates in which they covenanted, inter alia, not to provide witnesses to give evidence in support of the council's compulsory purchase order at...

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8 cases
2 firm's commentaries
  • Appointing Nominee Directors And Fettering Of Discretion Of Directors - Jersey Guide
    • Jersey
    • Mondaq Jersey
    • 8 January 2013
    ...the future exercise of their discretion". Thorby was approved by the English decision of Fulham Football Club v Cabra Estates plc (1992) BCC 863 ("Fulham"). In this case the Court of Appeal was concerned with a number of arguments relating to an agreement between shareholders and directors ......
  • Appointing Nominee Directors And Fettering Of Discretion Of Directors
    • Jersey
    • Mondaq Jersey
    • 4 March 2013
    ...the future exercise of their discretion". Thorby was approved by the English decision of Fulham Football Club v Cabra Estates plc (1992) BCC 863 ("Fulham"). In this case the Court of Appeal was concerned with a number of arguments relating to an agreement between shareholders and directors ......
6 books & journal articles

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